THE THREE THINGS - Agile Arizona · THE THREE THINGS You Need to Know to Transform Any Sized...

THE THREE THINGSYou Need to Know to Transform Any Sized

Organization into an Agile Enterprise

mike@leadingagile.com404-312-1471

www.leadingagile.comtwitter.com/mcottmeyer

facebook.com/leadingagilelinkedin.com/in/cottmeyer

MIKE COTTMEYER

Brief Agenda

• Discuss why adopting agile isn’t ‘one size fits all’

• Explore the fundamentals of agile transformation

• How to craft an agile transformation roadmap

Brief Agenda

• Discuss why adopting agile isn’t ‘one size fits all’

• Explore the fundamentals of agile transformation

• How to craft an agile transformation roadmap

Brief Agenda

• Discuss why adopting agile isn’t ‘one size fits all’

• Explore the fundamentals of agile transformation

• How to craft an agile transformation roadmap

Brief Agenda

• Discuss why adopting agile isn’t ‘one size fits all’

• Explore the fundamentals of agile transformation

• How to craft an agile transformation roadmap

ONE SIZE DOESNOT FIT ALL

AdaptabilityPr

edic

tabi

lity

Pred

icta

bilit

y Adaptability

Emergence

Convergence

Pred

icta

bilit

y Adaptability

Emergence

Convergence

Pred

icta

bilit

y Adaptability

Emergence

Convergence

AEPC

Pred

icta

bilit

y Adaptability

Emergence

Convergence

AEPEPC AC

Pred

icta

bilit

y Adaptability

Emergence

Convergence

AEPEPC AC

Ad-HocQuadrant One• Predictive

Emergent

Pred

icta

bilit

y Adaptability

Emergence

Convergence

AEPEPC AC

Ad-Hoc

Traditional

Quadrant Two• Predictive

Convergent

Pred

icta

bilit

y Adaptability

Emergence

Convergence

AEPEPC AC

Ad-Hoc

Traditional Agile

Quadrant Three• Adaptive

Convergent

Pred

icta

bilit

y Adaptability

Emergence

Convergence

AEPEPC AC

Ad-Hoc

Traditional Agile

Lean StartupQuadrant Four• Adaptive

Emergent

THE THREE THINGS

Backlog

Backlog

Backlog

Backlog

Backlogs

Teams

Backlog

Backlog

Backlog

Backlog

Backlogs Teams

Teams

Backlog

Backlog

Backlog

Backlog

WorkingTested

Software

Backlogs Teams Working Tested Software

Teams

Backlog

Backlog

Backlog

Backlog

WorkingTested

Software

• INVEST• CCC• Small enough

for the team to develop in a day or so

• Everything and everyone necessary to deliver

• Meets acceptance criteria

• No known defects

• No technical debt

What Do I Mean?

Backlogs Teams Working Tested Software

Teams

Backlog

Backlog

Backlog

Backlog

WorkingTested

Software

• INVEST• CCC• Small enough

for the team to develop in a day or so

• Everything and everyone necessary to deliver

• Meets acceptance criteria

• No known defects

• No technical debt

What Do I Mean?

Backlogs Teams Working Tested Software

Teams

Backlog

Backlog

Backlog

Backlog

WorkingTested

Software

• INVEST• CCC• Small enough

for the team to develop in a day or so

• Everything and everyone necessary to deliver

• Meets acceptance criteria

• No known defects

• No technical debt

What Do I Mean?

Backlogs Teams Working Tested Software

Teams

Backlog

Backlog

Backlog

Backlog

WorkingTested

Software

• INVEST• CCC• Small enough

for the team to develop in a day or so

• Everything and everyone necessary to deliver

• Meets acceptance criteria

• No known defects

• No technical debt

What Do I Mean?

Backlogs Teams Working Tested Software

Teams

Backlog

Backlog

Backlog

Backlog

WorkingTested

Software

Why Are They Important?

Clarity Accountability MeasureableProgress

• People have clarity around what to build

• People understand how it maps to the big picture

• Teams can be held accountable for delivery

• No indeterminate work piling up at the end of the project

• 90% done, 90% left to do

Teams

Backlog

Backlog

Backlog

Backlog

WorkingTested

Software

Why Are They Important?

Clarity Accountability MeasureableProgress

• People have clarity around what to build

• People understand how it maps to the big picture

• Teams can be held accountable for delivery

• No indeterminate work piling up at the end of the project

• 90% done, 90% left to do

Teams

Backlog

Backlog

Backlog

Backlog

WorkingTested

Software

Why Are They Important?

Clarity Accountability MeasureableProgress

• People have clarity around what to build

• People understand how it maps to the big picture

• Teams can be held accountable for delivery

• No indeterminate work piling up at the end of the project

• 90% done, 90% left to do

Teams

Backlog

Backlog

Backlog

Backlog

WorkingTested

Software

Why Are They Important?

Clarity Accountability MeasureableProgress

• People have clarity around what to build

• People understand how it maps to the big picture

• Teams can be held accountable for delivery

• No indeterminate work piling up at the end of the project

• 90% done, 90% left to do

Teams

Backlog

Backlog

Backlog

Backlog

WorkingTested

Software

Why Are They Important?

Purpose Autonomy Mastery

• Understanding the backlog gives meaning to work

• Local decision making gives people a sense of power and control over their work

• People can demonstrate that they are good at what they do

Teams

Backlog

Backlog

Backlog

Backlog

WorkingTested

Software

Why Are They Important?

Purpose Autonomy Mastery

• Understanding the backlog gives meaning to work

• Local decision making gives people a sense of power and control over their work

• People can demonstrate that they are good at what they do

Teams

Backlog

Backlog

Backlog

Backlog

WorkingTested

Software

Why Are They Important?

Purpose Autonomy Mastery

• Understanding the backlog gives meaning to work

• Local decision making gives people a sense of power and control over their work

• People can demonstrate that they are good at what they do

Teams

Backlog

Backlog

Backlog

Backlog

WorkingTested

Software

Why Are They Important?

Purpose Autonomy Mastery

• Understanding the backlog gives meaning to work

• Local decision making gives people a sense of power and control over their work

• People can demonstrate that they are good at what they do

Teams

Backlog

Backlog

Backlog

Backlog

WorkingTested

Software

What Do They Look Like at Scale?

Governance Structure Metrics & Tools

• Governance is the way we make economic tradeoffs in the face of constraints

• They way we form teams and foster collaboration at all levels of the organization

• What do we measure, how do we baseline performance and show improvement?

Teams

Backlog

Backlog

Backlog

Backlog

WorkingTested

Software

What Do They Look Like at Scale?

Governance Structure Metrics & Tools

• Governance is the way we make economic tradeoffs in the face of constraints

• They way we form teams and foster collaboration at all levels of the organization

• What do we measure, how do we baseline performance and show improvement?

Teams

Backlog

Backlog

Backlog

Backlog

WorkingTested

Software

What Do They Look Like at Scale?

Governance Structure Metrics & Tools

• Governance is the way we make economic tradeoffs in the face of constraints

• They way we form teams and foster collaboration at all levels of the organization

• What do we measure, how do we baseline performance and show improvement?

Teams

Backlog

Backlog

Backlog

Backlog

WorkingTested

Software

What Do They Look Like at Scale?

Governance Structure Metrics & Tools

• Governance is the way we make economic tradeoffs in the face of constraints

• They way we form teams and foster collaboration at all levels of the organization

• What do we measure, how do we baseline performance and show improvement?

Team

Matrixed Organizations

Team

Matrixed Organizations

Non-instantly Available

Resources

Team

Matrixed Organizations

Limited Access to Subject Matter

Expertise

Non-instantly Available

Resources

Team

Matrixed Organizations

Limited Access to Subject Matter

Expertise

Non-instantly Available

Resources

Shared Requirements

Between Teams

Team

Matrixed Organizations

Limited Access to Subject Matter

Expertise

Non-instantly Available

Resources

Too Much Work In Process

Shared Requirements

Between Teams

Team

Matrixed Organizations

Limited Access to Subject Matter

Expertise

Non-instantly Available

Resources

Too Much Work In Process

Shared Requirements

Between Teams

Large Products with Diverse Technology

Team

Matrixed Organizations

Limited Access to Subject Matter

Expertise

Non-instantly Available

Resources

Too Much Work In Process

Shared Requirements

Between Teams

Technical Debt & Defects

Large Products with Diverse Technology

Team

Matrixed Organizations

Limited Access to Subject Matter

Expertise

Non-instantly Available

Resources

Too Much Work In Process

Low Cohesion & Tight Coupling

Shared Requirements

Between Teams

Technical Debt & Defects

Large Products with Diverse Technology

Team

A THEORY OF TRANSFORMATION

A Theory of Transformation

Agile is about forming teams, building backlogs, and regularly producing increments of working

tested software

A Theory of Transformation

Agile at scale is about defining structure, establishing

governance, and creating a metrics and tooling strategy that

supports agility

A Theory of Transformation

Anything that gets in the way of forming teams, building

backlogs, and producing working tested software is an impediment

to transformation

TRANSFORMATIONIS A JOURNEY

Pred

icta

bilit

y Adaptability

Emergence

Convergence

AEPEPC AC

Ad-Hoc

Traditional Agile

Lean Startup

Pred

icta

bilit

y Adaptability

Emergence

Convergence

AEPEPC AC

Ad-Hoc

Traditional Agile

Lean StartupLow Trust

Pred

icta

bilit

y Adaptability

Emergence

Convergence

AEPEPC AC

Ad-Hoc

Traditional Agile

Lean StartupLow Trust

Become Predictable

Pred

icta

bilit

y Adaptability

Emergence

Convergence

AEPEPC AC

Ad-Hoc

Traditional Agile

Lean StartupLow Trust

Become Predictable

Pred

icta

bilit

y Adaptability

Emergence

Convergence

AEPEPC AC

Ad-Hoc

Lean/Agile Agile

Lean StartupLow Trust

Become Predictable

Pred

icta

bilit

y Adaptability

Emergence

Convergence

AEPEPC AC

Ad-Hoc

Lean/Agile Agile

Lean StartupLow Trust

Become Predictable Reduce Batch Size

Pred

icta

bilit

y Adaptability

Emergence

Convergence

AEPEPC AC

Ad-Hoc

Lean/Agile Agile

Lean StartupLow Trust

Become Predictable Reduce Batch Size

Fully Decouple

Adaptability

Emergence

Convergence

AEPEPC AC

Ad-Hoc

Lean/Agile Agile

Lean Startup

Teams

Low Trust

Become Predictable Reduce Batch Size

Fully DecouplePr

edic

tabi

lity

Adaptability

Emergence

Convergence

AEPEPC AC

Ad-Hoc

Lean/Agile Agile

Lean Startup

Teams

Low Trust

Become Predictable Reduce Batch Size

Fully Decouple

Phase One

Phase One• Stabilize the

System

Pred

icta

bilit

y

Adaptability

Emergence

Convergence

AEPEPC AC

Ad-Hoc

Lean/Agile Agile

Lean Startup

Teams

Low Trust

Become Predictable Reduce Batch Size

Fully Decouple

Phase One

Phase Two

Phase Two• Reduce Batch

Size

Pred

icta

bilit

y

Adaptability

Emergence

Convergence

AEPEPC AC

Ad-Hoc

Lean/Agile Agile

Lean Startup

Teams

Low Trust

Become Predictable Reduce Batch Size

Fully Decouple

Phase One

Phase Three

Phase Two

Phase Three• Break

Dependencies

Pred

icta

bilit

y

Pred

icta

bilit

y Adaptability

Emergence

Convergence

AEPEPC AC

Ad-Hoc

Lean/Agile Agile

Lean Startup

Teams

Low Trust

Become Predictable Reduce Batch Size

Fully Decouple

Phase One

Phase Three

Phase Four

Phase Two

Phase Four• Increase Local

Autonomy

Pred

icta

bilit

y Adaptability

Emergence

Convergence

AEPEPC AC

Ad-Hoc

Lean/Agile Agile

Lean Startup

Teams

Low Trust

Become Predictable Reduce Batch Size

Fully Decouple

Phase One

Phase Three

Phase Four

Phase Two

Phase Five

Phase Five• Invest to

Learn

mike@leadingagile.com404-312-1471

www.leadingagile.comtwitter.com/mcottmeyer

facebook.com/leadingagilelinkedin.com/in/cottmeyer

MIKE COTTMEYER

THE THREE THINGSAppendix A

STRUCTURE

Team Team Team Team

TeamTeamTeam

Product & ServicesTeams

Team Team Team

Team Team Team Team

TeamTeamTeam

Product & ServicesTeams

ProgramTeams

Team

Team Team Team

Team Team Team Team

TeamTeamTeam

Product & ServicesTeams

ProgramTeams

PortfolioTeams

GOVERNANCE

Team

Team Team Team

Team Team Team Team

TeamTeamTeam

Product & ServicesTeams

ProgramTeams

PortfolioTeams

Product & ServicesTeams

Scrum

Team

Team Team Team

Team Team Team Team

TeamTeamTeam

ProgramTeams

PortfolioTeams

Product & ServicesTeams

ProgramTeams

PortfolioTeams

Scrum

Kanban

Team

Team Team Team

Team Team Team Team

TeamTeamTeam

Product & ServicesTeams

ProgramTeams

PortfolioTeams

Scrum

Kanban

KanbanTeam

Team Team Team

Team Team Team Team

TeamTeamTeam

METRICS

Product & ServicesTeams

ProgramTeams

PortfolioTeams

Scrum

Kanban

KanbanTeam

Team Team Team

Team Team Team Team

TeamTeamTeam

Product & ServicesTeams

ProgramTeams

PortfolioTeams

Scrum

Kanban

KanbanTeam

Team Team Team

• Backlog Size• Velocity• Burndown• Escaped Defects• Commit % Ratio• Acceptance % Ratio• Scope Change

Product & ServicesTeams

ProgramTeams

PortfolioTeams

Scrum

Kanban

KanbanTeam

• Cycle Time• Features Blocked• Rework/Defects• Backlog Size• Velocity• Burndown• Escaped Defects• Commit % Rate• Acceptance % Ratio• Scope Change

Product & ServicesTeams

ProgramTeams

PortfolioTeams

Scrum

Kanban

Kanban

• Backlog Size• Velocity• Burndown• Escaped Defects• Commit % Ratio• Acceptance % Ratio• Scope Change

• Cycle Time• Features Blocked• Rework/Defects

• Takt Time/Cycle Time• Time/Cost/Scope/Value• RIO/Capitalization

BELIEFS

Teams

Backlog

Backlog

Backlog

Backlog

WorkingTested

Software

How Do I Need to Change?

• Known and knowable requirements

• How to deal with unknowns

• Estimating

• Fungible resources

• Individual utilization

• Productivity metrics

• Activity over outcome

Defining Work

Allocating People

MeasuringProgress

Teams

Backlog

Backlog

Backlog

Backlog

WorkingTested

Software

How Do I Need to Change?

• Known and knowable requirements

• How to deal with unknowns

• Estimating

• Fungible resources

• Individual utilization

• Productivity metrics

• Activity over outcome

Defining Work

Allocating People

MeasuringProgress

Teams

Backlog

Backlog

Backlog

Backlog

WorkingTested

Software

How Do I Need to Change?

• Known and knowable requirements

• How to deal with unknowns

• Estimating

• Fungible resources

• Individual utilization

• Productivity metrics

• Activity over outcome

Defining Work

Allocating People

MeasuringProgress

Teams

Backlog

Backlog

Backlog

Backlog

WorkingTested

Software

How Do I Need to Change?

• Known and knowable requirements

• How to deal with unknowns

• Estimating

• Fungible resources

• Individual utilization

• Productivity metrics

• Activity over outcome

Defining Work

Allocating People

MeasuringProgress

IMPEDIMENTS

Teams

Backlog

Backlog

Backlog

Backlog

WorkingTested

Software

What Gets in the Way?

BusinessDependencies

OrganizationalDependencies

TechnicalDependencies

• Requirements management

• Process flow• Value streams• Bottlenecks• Too much in

process work

• MatrixedOrganizations

• Non instantly available resources

• Lack of SME

• Technical Debt

• Defects• Tight Coupling• Low Cohesion

Teams

Backlog

Backlog

Backlog

Backlog

WorkingTested

Software

What Gets in the Way?

BusinessDependencies

OrganizationalDependencies

TechnicalDependencies

• Requirements management

• Process flow• Value streams• Bottlenecks• Too much in

process work

• MatrixedOrganizations

• Non instantly available resources

• Lack of SME

• Technical Debt

• Defects• Tight Coupling• Low Cohesion

Teams

Backlog

Backlog

Backlog

Backlog

WorkingTested

Software

What Gets in the Way?

BusinessDependencies

OrganizationalDependencies

TechnicalDependencies

• Requirements management

• Process flow• Value streams• Bottlenecks• Too much in

process work

• MatrixedOrganizations

• Non instantly available resources

• Lack of SME

• Technical Debt

• Defects• Tight Coupling• Low Cohesion

Teams

Backlog

Backlog

Backlog

Backlog

WorkingTested

Software

What Gets in the Way?

BusinessDependencies

OrganizationalDependencies

TechnicalDependencies

• Requirements management

• Process flow• Value streams• Bottlenecks• Too much in

process work

• MatrixedOrganizations

• Non instantly available resources

• Lack of SME

• Technical Debt

• Defects• Tight Coupling• Low Cohesion